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1 year ago

Which one of the following is common between optimization using total value and optimization using marginal analysis?

Business

1 answer:

Temka [501]1 year ago

5 0

Common between optimization using total value and optimization using marginal analysis is:

Both techniques require the conversion of all costs and benefits into a common unit of measurement.

What is the principle of optimization at the margin?

The Principle of Optimization at the Margin states that an optimal feasible alternative has the property that moving to it makes you better off and moving away from it makes you worse off.

Optimization using total value:

calculates the change in net benefits when switching from one. alternative to another.

optimization using marginal analysis:

calculates the net benefits of. different alternatives.

Total Value analysis :

has a wide range of applications. The analysis can be used to assess an organization's key impacts, or provide more detailed information such as an assessment of the life cycle impacts of a product.

marginal analysis:

is an examination of the additional benefits of an activity compared to the additional costs incurred by that same activity. Companies use marginal analysis as a decision-making tool to help them maximize their potential profits.

Learn more about optimization:

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A product's demand per period is normally distributed with a mean of 100 and standard deviation of 10. The in-stock probability

BigorU [14]

Answer:

A) It will increase.

Explanation:

As we know that the safety stock is directly proportional to the lead time that means if the safety stock rises than the lead time is also increased and if the safety stock decreased than the lead time is also decreased.

So, in the case when the lead time rises so expected on hand would also increased

hence, the correct option is A

And, the rest of the options are incorrect

6 0

2 years ago

When analyzing a price-earnings ratio:_________.

frez [133]

Answer:

B. The higher the price-earnings ratio, the more investors are paying for earnings.

Explanation:

When analyzing a price-earnings ratio the higher the price-earnings ratio, the more investors are paying for earnings.

Price-earning ratio: It is a ratio of stock´s price per share to the company´s earning per share. It is a measure the share price in relative to the total earning by the company per share. Higher price earning ratio shows the higher demand for the share in the market. The investor wants to invest in the company´s share even if they have to pay a higher price per share as they anticipate better earning per share in the future. This ratio also helps in evaluating the performance of the company before investing.

Formula; Price-earning ratio= $\frac{Current\ share\ price}{Earning\ per\ share}$

7 0

3 years ago

Southeast Airlines had pretax earnings of $30 million, including a gain on disposal of a discontinued operation of $5 million. T

klasskru [66]

Answer:

Income tax expense of $14 million should report in the income statement

Explanation:

Southeast Airline should report the income on the basis of their earning in the year.

Earning Before Tax = $30 Million

Tax on Earning Before Tax = $30 Million x 40% = $12 million

Gain on disposal = $5 million

Tax on Gain on disposal = $5 million x 40% = 2 million

Total Income tax = $12 million + $2 million = $14 million

Another way

Total Income tax = ( $30 million + $5 million ) x 40% = $14 million

6 0

2 years ago

The risk-free rate of return is 7.5%, the expected rate of return on the market portfolio is 14%, and the stock of Xyrong Corpor

Pepsi [2]

Answer:

The intrinsic value of a share of Xyrong stock = $68.075.

the expected one-year holding-period return on Xyrong stock = 0.27716.

Explanation:

Without mincing words, let's dive straight into the solution to the question above:

The intrinsic value of a share of Xyrong stock can be calculated as given below;

The intrinsic value of a share of Xyrong stock = [ (1 + growth rate) × G° ] ÷ (cost of equity - growth rate). -------------------(1).

=> Where, growth rate = 16%( 1 - 0.4) = 9.6% = 0.96.

=> Cost of equity = 2.8( 14 - 7.5) + 7.5 = 25.7% = 0.257.

Thus, slotting in the values into the equation (1) above, we have;

The intrinsic value of a share of Xyrong stock = [ (1 + growth rate) × G° ] ÷ (cost of equity - growth rate).

The intrinsic value of a share of Xyrong stock = [( 1 + 0.96) × 10] ÷ (0.257 - 0.96) = $68.075.

Hence, the expected one-year holding-period return on Xyrong stock = G° × ( 1 + growth rate) + [ (The intrinsic value of a share of Xyrong stock) × (1 + growth rate )] - market price of share ÷ market price of share.

= [ 10 × ( 1 + 0.96) + {$68.075 × (1 + 0.96)} - 67] ÷ 67 = 0.27716.

7 0

2 years ago

last month, the tecumseh corporation supplied 400 units of three-ring binders at $6 per unit. this month, the company supplied t

kati45 [8]

Thank you for posting your question here at brainly. I hope the answer will help you. Feel free to ask more questions.
below are the choices that can be found from other sources
A) a decrease in supply.
B) a decrease in the quantity supplied.
C) an increase in the quantity supplied.
<span>D) an increase in supply.
</span>
The answer is D.

6 0

2 years ago

Which one of the following is common between optimization using total value and optimization using marginal​ analysis?

Which one of the following is common between optimization using total value and optimization using marginal analysis?